*** BUILDing for the Future:

A Strategic Vision

Updated Fall 2015

Building for the Future:

2013-2018

Expand Organizational CapacityMake key investments in program, human capital and infrastructure to

support an organization with national impact

Refine Program for Scale and ImpactRefresh the curriculum to improve academic rigor and relevance and redesign program

model for lower cost-per-student

Achieve Fiscal SustainabilityShift to regional fund-raising strategy, diversify funding sources, and design fee-for-

service and curriculum sales plans

Begin Widespread ImpactGrow existing regions to scale, serve students in six regions, identify at least 10 regions

total and expand curriculum and pedagogical partnerships

IntROduCtIOn | 1

From Our Founder and CEO

Over fifteen years ago, I had the opportunity to help four young

men start a business. But before I agreed to help, I made them

commit to stay in high school and graduate. And they did.

It was then I realized the power of entrepreneurship—the skills

and confidence the students developed by starting their small

business—to engage students, who would otherwise drop out

of school and face a life of tragically diminished potential.

Half a million students drop out of high school every year. Since

those four young men approached me, BUILD has become a model

for the power experiential, entrepreneurship-based education

can have on ending our nation’s drop-out crisis. BUILD has grown

from serving four students annually to serving over 1,600 this

year; from partnering with one school to partnering with 23; and

from working in one city to now working in five cities. Since 2012,

98% of students who complete the BUILD program graduate high

school on time, and 98% of those are accepted to at least one

postsecondary opportunity

But that is just the beginning; if I’ve learned anything over the

past 15 years it is that we can and must do more. This document

outlines BUILD’s plan to increase the impact we have on our

students, expand our direct service model and in the process

become a catalyst for wide-spread change in how this country

educates all children.

Thank you for your interest in BUILD. I sincerely hope these

materials inspire you to join our exciting and important work,

and I look forward to partnering with you in the future.

Sincerely,

Suzanne McKechnie Klahr, Esq.

IntROduCtIOn | 2

Our visionBUILD envisions a world where our educational

system ensures all students, regardless of

background, have the opportunity to develop the skills

necessary for personal and professional success.

Our missionThrough entrepreneurship-based, experiential

learning, BUILD ignites the potential of youth in

under-resourced communities and equips them

for high school, college and career success.

IntROduCtIOn | 3

Our History1999 BUILD founded to help low-income entrepreneurs

in East Palo Alto, CA

2001 BUILD receives 501c3 status and switches to a

youth-oriented program

2004 BUILD expands to serve Oakland, CA

2007 BUILD opens in Washington, DC

2011 BUILD opens in Boston, MA

2013 BUILD adopts strategic plan for ambitious growth and

wide-spread impact

2014 BUILD announces plans to open in New York City

2015 BUILD hires first NYC-based staff

2015 BUILD announces expansion plans for Los Angeles

Our Results* Incubated over 750 youth businesses

* Partnered successfully with over 20 schools

* Expanded service from one city to five

* Grew budget from $37,000 to $12M

* Grew staff from 1 to over 100

* Since 2012, 98% of students completing the BUILD program

graduate from high school on time, and 98% of those are

accepted to at least one postsecondary opportunity

IntROduCtIOn | 4

table of ContentsTheory of Change: The Problem 6

Theory of Change: The Solution 8

Realizing Our Theory 10

Phase One (2013-2018) Outcomes 11

Outcome One: Expand Organizational Capacity 12

Outcome Two: Refine Program for Scale and Impact 13

Outcome Three: Achieve Fiscal Sustainability 14

Outcome Four: Begin Widespread Impact 15

Phase One, Year Three (2015-2016) Goals 16

IntROduCtIOn | 5

The Problem

Each year, more than 500,000 students drop out of high school.

Countless others remain disengaged in school, leaving too many

students unprepared for success in the 21st Century.

tHEORy OF CHAngE | 6

$145 Billion: Lifetime cost of each year of dropouts.*

unEMPLOyMEnt

* Not qualified for 90% of U.S. jobs

* Have 2X rate of unemployment

POVERty

* Earn $250K less than a high

school graduate

* $1M less than a college graduate

InCARCERAtIOn

* 75% of incarcerated persons are high

school drop-outs

The Cost to Society

* Matthew Lynch. “High School Dropout Rate: Causes & Costs.” Education Week Blog 11/6/13 tHEORy OF CHAngE | 7

The Solution (Now)

BUILD will enhance the education of students by leveraging our expertise in

entrepreneurship and experiential learning to increase on time graduation

rates and increase student engagement and learning, leading more students

to finish high school prepared for future success.

tHEORy OF CHAngE | 8

The Solution (Later)

While BUILD scales its direct service model, we will use our programmatic

success to partner with like-minded organizations, school districts and

schools of education to adopt our pedagogical approach on a widespread

scale in order to improve the engagement and education of hundreds

of thousands of students across the country.

tHEORy OF CHAngE | 9

Phase One: BuILdIng FOR tHE FutuRE

* Increase organizational capacity to support

national expansion

* Refine and launch enhanced programmatic model

* Expand to five regions serving students

* Serve over 4,000 students annually

* Complete $10M National Growth Campaign

* Increase annual budget to $20M

Realizing Our Theory

* Expand to 10 regions serving students

* Grow all 10 direct service regions to scale, serving

nearly 15,000 students annually

* Expand licensed partnerships and curriculum sales plans

* Publish findings of programmatic impact in order to

inform the discussion of experiential education

* Partner with school districts and schools of education

to facilitate wider adoption of our pedagogical approach

in order to improve the education of students all across

the country

* Grow annual budget to $50M+

Phase two: BuILdIng A MOVEMEnt

REALIzIng OuR tHEORy In tWO PHASES | 10

OutCOME OnE: EXPAnd ORgAnIzAtIOnAL CAPACIty

To ensure our goals are reached, we will make key annual

investments in human capital, infrastructure and

programmatic capacity.

OutCOME tWO:

REFInE PROgRAM FOR SCALE And IMPACt

To scale programs, we f irst need to:

* design a program model that is repeatable and

more cost effective;

* articulate the impact points we hold ourselves

accountable for;

* strengthen our curriculum to ensure it aligns with

partner schools’ academic goals;

* pilot and study this redesign’s impact;

* and begin process of digitizing our curriculum.

OutCOME tHREE:

ACHIEVE FISCAL SuStAInABILIty

To ensure the continued viability of the organization,

and in support of ambitious plans for growth, we will:

* complete a $10M National Growth Campaign to support

immediate capacity building and expansion;

* position all regions to be fully self-sustaining and paying

a national service fee;

* begin raising an organizational reserve; and

* design and initiate a fee-for-service model with partner schools

and a curricular sales plan for off-mission schools.

OutCOME FOuR:

BEgIn WIdESPREAd IMPACt

In addition to growing our existing regions toward scale,

* begin programs in New York City and Los Angeles (serving

students in five regions)

* identify five additional regions for Phase II growth

* design licensed partnership and teacher training initiatives.

2013–2018:

Phase One Outcomes

PHASE OnE OutCOMES | 11

Outcome One:

Expand Organizational Capacity

OVERALL InVEStMEnt InCREASE*

Organizational Growth and Programs 55%

National Operations 24%

Development 21%

* Over FY14 spending levels

Using a robust cost model, BUILD has projected the increased investment needed

to expand organizational capacity the vast majority of investment going to

Organizational Growth, Widespread Impact initiatives and Programs.

PHASE OnE OutCOMES | 12

Through a significant refinement of our program curriculum, we will ensure our

programs have a stronger academic impact for our students. Through significant

structural changes, at scale we will lower our cost-per-student by up to 40%.

Outcome Two:

Refine Program for Scale and Impact

yEAR 1: BuILd EntREPREnEuRSHIP

Skill Acquisition

* Plan & launch a small business

* Discover personal strengths & passions

Teacher taught; in school; for-credit

yEAR 2: BuILd EXPLORAtIOn

Skill development

* Grow a business or start a new one

* Explore college & career options

Teacher facilitated; after school

yEAR 3 & 4: BuILd EXPERIEnCE

Skill Application

* Participate in expanded business &/or community internship

* Experience career options & navigate college application process

BUILD facilitated; after school

PHASE OnE OutCOMES | 13

In order to make the significant investments in our human capital

and infrastructure, we are executing three initiatives to ensure BUILD’s

fiscal sustainability lasts beyond Phase One and supports our efforts

in future phases.

nAtIOnAL gROWtH CAMPAIgn

* Raise $10M in additional capital by

summer of 2018

* Invest $8M immediately during Phase

One, leaving $2M to support continued

growth to scale in Phase Two

FundIng SuStAInABILIty

* Regions will continue to cover 100%

of local expenses

* Secure multi-year funding

where possible

* Begin raising an organizational reserve

REVEnuE gEnERAtIOn MOdELS

* School partners will contribute a set

amount to support programs, reducing

the dependency on annual fundraising.

* Design a platform to support curricular

sales to “off-mission” schools.

Outcome Three:

Achieve Fiscal Sustainability

PHASE OnE OutCOMES | 14

During Phase One, BUILD will serve 4,500 students in six regions.

Expansion will continue through Phase Two.

Outcome Four:

Begin Widespread Impact

San Francisco Bay Area

greater Los Angeles

Metro dC

nyC

Boston

Seattle

Atlanta

St. Louis

dallas

Current Regions

Opening 2016

Potential Expansion Cities Phase One and Phase Two

denver

detroit

Miami

Chicago

PHASE OnE OutCOMES | 15

OutCOME OnE gOALS: InCREASE ORgAnIzAtIOnAL CAPACIty

* Complete unified/upgraded database platform

* Upgrade enterprise operating software

* Continue strategic hires per growth plan

OutCOME tWO gOALS: REFInE PROgRAM FOR SCALE And IMPACt

* Roll out E1 to all Regions

* Pilot E2 in Bay Area and Boston

* Design E3-E4 Program Model

* Design E1 Curriculum for Sale

OutCOME tHREE gOALS: ACHIEVE FISCAL SuStAInABILIty

* Meet $11.9M annual expenses (including 5% to Regional and

Organizational Reserves)

* Raise additional $2.5M in Growth Campaign Commitments

* Design Fee-for-Service Model

* Explore local Government funding

OutCOME FOuR gOALS: EXPAnd WIdESPREAd IMPACt

* Support Regional growth in Boston and DC

* Achieve Year One Benchmarks in NYC (per Opening Protocol)

* Achieve Year Zero benchmarks in Los Angeles (per Opening

Protocol)

* Pilot Curriculum for sale to Off-Mission Schools

* Formalize Licensed Partnership definition

* Pilot Curricular Sales in LA

2015 - 2016

Phase One, Year Three Goals

PHASE OnE, yEAR tHREE gOALS | 16

Join us

Contact Kristina Ver Foley

Vice President, Development and Communications

650.743.6600 kverfoley@build.org

@BUILDNational /build.org /user/build1600 /company/build

*** Appendix

Building Futures:

Spark Skills

COLLABORAtIOn

To work in a team to achieve a common goal.

gRIt

To demonstrate perseverance and passion for

short and long term goals.

PROBLEM SOLVIng

To define and analyze problems; identify and

execute solutions; and evaluate and improve

based on experience.

COMMunICAtIOn

To express and clarify ideas orally and in writing.

InnOVAtIOn

To think creatively and take positive risks to

develop new ideas or improve on existing ideas.

SELF-MAnAgEMEnt

To act in their own best interest by

regulating emotions and identifying their

strengths, weaknesses and growth.

national Board ChairDavid Marston, PwC Partner Silicon Valley, PwC

national Board MembersAjay Agarwal, Managing Director, Bain Capital Ventures

David Bohigian, Managing Director, Pluribus Ventures

Doug Brien, Co-Chief Executive Officer and Founder,

Waypoint Homes

Emily Chang, Anchor, Bloomberg West

Jack Dorsey, Founder & CEO, Twitter,

Founder & CEO, Square

Liane Hornsey, Chief Administrative Officer, Softbank

Karl Jacob, CEO and Founder, Hangtime

Suzanne McKechnie Klahr, Founder and CEO, BUILD

Jean Kovacs, President, HBS Alumni Angels

Mike O’Brien, CEO, iMentor

Baratunde Thurston, Co-Founder and CEO,

Cultivated Wit

Bay Area Advisory BoardGary Beasley, Board Chair, CEO and Co-Founder,

DwellConnect

Sabrina Aery, Senior Public Health Account Director, Bristol-

Myers Squibb

Louis Chang, Sector Head,

Criterion Capital Management

Lynda Galligan, Partner, Goodwin Procter

Alana Karen, Service Delivery Director, Google Fiber, Google

Ellen Levy, Managing Director, Silicon Valley Connect

Todson Page, Partner, PricewaterhouseCoopers

Guru Pangal, General Manager, WSSC StorSimple, Microsoft

Ralph Schmitt, President and CEO, OCZ Technology

Maz Sharafi, Head of Monetization Product Marketing,

Direct Response, Facebook

Cindy Worthington, Vice President Business

Development, Wells Fargo

Denise Yamamoto, Nonprofit Consultant

Metro dC Advisory BoardTimothy Garnett, Board Chair, Partner,

The Avascent Group

Jeffrey H. Blum, Senior Vice-President and

Deputy General Counsel, DISH Network LLC

Kimberly Churches, Vice President for Institutional

Advancement and External Relations, Brookings Institution

Alex Johnston, Practice Leader, Corporate Executive Board

Stephen Jones, Partner, SineWave Ventures

Harold B. Pettigrew, Jr., Operations and Business

Development Executive

Scott Plumridge, Principal, The Halifax Group

Courtney Straus, Executive Director, JPMorgan Private Bank

Amy Wright, President and CEO, Macro Solutions, Inc.

Irving Yoskowitz, Senior Counsel, Crowell & Moring LLP

Boston Area Advisory BoardJeff Glass, Board Chair, CEO, Playmaker Group;

Co-Founder & CEO, Starting 5

Adam Beard, Senior Vice President, Jefferies, LLC

Tatiana Bougdaeva, VP Bank Officer, East Boston Savings Bank

Michele Brooks, Asst. Superintendent, Boston Public Schools

Jim Collins, President, New England Business Partners

David Cappillo, Partner, Goodwin Procter

Scott Friend, Managing Director, Bain Capital Ventures

Andrew Gates, CEO, Azigo

Frank Graziano, Partner, PwC

Roy Hirshland, President, T3 Advisors

Sarah Hodges, VP of Marketing and Client Services, Smarterer

Sasha Hoffman, CEO, ParkRightThere

Steve Jenks, Co-Founder & Managing Partner,

Candescent Partners

Dennis Kunian, CEO, The Kunian Group

Rizwan Mallal, Co-Founder and VP, Crosscheck Networks, Inc.

Sydney Atkins Mason, Investment Advisor, Goldman,

Sachs & Co.

George Moker, Director of Entrepreneurship Programs and

Instructor of Management, Suffolk University

Jeffrey Newton, Founder & Managing Director,

Gemini Investments

Michele Norman, Entrepreneur

Rob Parsons, President, Synergy Dining

Shari Redstone, President, National Amusements and

Vice Chair, CBS and Viacom

Dan Roth, President, Shaser Inc.

Mary Skipper, Asst. Superintendent for High Schools,

Boston Public Schools

Venkat Srinivasan, President, Rageworks, Inc.

Nancy Sterling, Sr. Vice President of Strategic Communications,

Mintz Levin Strategies

Ed Sullivan Jr., Partner, KPMG LLP

William Tita, Professor, Northeastern University

Richard Vieira, Managing Director and Group Head,

Technology Investment Banking, BMO Capital

Amy Villeneuve, President, Kiva Systems

new york Advisory BoardAndy Russell, Chair, CEO, Trigger Media

Erin Glenn, Vice Chair, CEO, Quire

Ari Daie, Tech CEO & Investor

Jullien Gordon, Founding Partner, New Higher

Howard Jacobs, EVP Marketing & Sales, Madison Square Garden

Alex Kolevzon, Clinical Director, Seaver Autism Center for

Research and Treatment

Stefanie Kubanka, SVP, Group Account Director, Havas

Ira Levy, IP Litigation Partner, Goodwin Procter LLP

Vanessa Liu, COO, Trigger Media

Mitch Rochelle, Partner & Senior VP, PwC

Brooke Sinclair, COO, Insidehook

Gail Tifford, VP of Digital & Media Engagement, Media Unilever

Eric Wasserstrom, Managing Director, Guggenheim Partners

David Wassong, Soros Fund Management

Ronald J. Williams, Managing Partner, ProofLabs

Joe Zawadzki, Founder & CEO, MediaMath

BUILD Board Lists (As of October 29, 2015)

The BUILD Family

“We support BUILD because of its focused demographic as well as the

skills the students attain. As a consulting business, Avascent values that

BUILD is taking business concepts and applying them to life. BUILD is an

innovative business approach. The fact that it’s a hands-on organization

and that it gelled with our area of focus—that made the trifecta.”

—Tim Garnett, Avascent Group

“All the most important tools that entrepreneurs use to build companies

are learned by BUILD students. It’s amazing to see. To have the support,

the infrastructure and the mentorship that these kids have to build a

business and to really gain the confidence to go out, speak, and create

something new, It’s something that I wish that I had when I was thirteen

and fourteen.”

—Jack Dorsey, Founder and CEO of Twitter & Square